COMPARATIVE RESEARCH ON THE ECONOMIC FOUNDATION FOR URBAN DEVELOPMENT IN GUANGZHOU AND SHENZHEN

In the background of economic globalization and regional economic integration, both Guangzhou and Shenzhen have faced the problems that how to develop industry and how to make city's developing strategy. Based on the statistical data of employment population in each occupation in 1997 and 2001, the theory of the urban economic foundation is applied to analyze the changes of the foundation in Guangzhou and Shenzhen. Some conclusions are achieved.1)The urban economic foundation of Shenzhen in 2001 is more diversified than in 1997. 2)The manufacturing industry of Guangzhou in 2001 was larger than that in 1997,while many output functions of its tertiary industry was dropped. 3)Guangzhou has more comparative advantages than Shenzhen in most industries,and the comparative advantage of Shenzhen is in high-tech industry and financial industry. It is suggested that Shenzhen should pay more attention to development of those having more comparative advantages,such as high-tech industry and financial industry, while Guangzhou could develop all the second industry and the tertiary industry coordinately, especially, strong emphasis should be put on the education and knowledge intensive industries.